Breach of fiduciary duty still No.1 investor charge

Breach of fiduciary duty still No.1 investor charge
But overall, Finra says number of arb cases down substantially last year
FEB 24, 2012
Arbitration cases filed with the Financial Industry Regulatory Authority Inc. fell to 4,729 last year, down 17% from 2010 and the lowest since 2007. Breach of fiduciary duty continues to be the most commonly claimed misstep, raised in 2,589 of the cases, according to arbitration statistics updated by Finra today. Other top allegations include negligence (2,249), misrepresentation (2,102) and failure to supervise (2,007). Investors typically allege multiple wrongdoings in their arbitration complaints. Cases tend to swell after severe market disruptions, as in 2009 following the financial crisis. That year, 7,137 cases were filed, a jump of 43% from 2008. In 2003, after the dot.com implosion, cases surged to a record 8,945.

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